CBRE Global Investors is clearly in disposition mode. Immediately following its announcement of the marketing of a 2 million-square-foot portfolio of six US office properties, the Los Angeles-based real estate investment manager has revealed that it now also is looking to sell an even larger portfolio of Class A US office properties.
A statement from the firm reveals that CBRE Global Investors has begun marketing for sale a portfolio of five office properties totaling nearly 3 million square feet. The recently upgraded properties in the portfolio, known as the Strategic Office Collection, are located in Dallas, Atlanta and Chicago.
According to sources familiar with the matter, CBRE Global Investors acquired the assets between 2005 and 2007 on behalf of its CBRE Strategic Partners US 4 fund. The combined value of the properties is estimated to be approximately $575 million. Representatives from CBRE Global Investors declined to comment on the portfolio’s history or value.
The properties in the 2.9 million-square-foot portfolio include 190 South LaSalle, a 798,800-square-foot trophy in the Central Loop of Chicago; Interchange Office Center, a 150,600-square-foot asset in the West Plano submarket of Dallas; The Point at Las Colinas, a 403,400-square-foot property in the Las Colinas submarket of Dallas; The Urban Towers, a two-building complex totaling 848,600 square feet in the Las Colinas submarket of Dallas; and Wildwood Center, a 679,600-square-foot trophy in the Northwest submarket of Atlanta.
CBRE Global Investors has invested significant capital in these properties to reposition them. Enhancements include updated amenities as well as LEED certification for four of the five properties. The portfolio, which is free of existing debt, is well leased to a mix of national and global firms.
The marketing of this portfolio comes hot on the heels of CBRE Global Investors looking for a buyer for its National Office Portfolio, which includes six trophy assets comprising nearly two million square feet in Los Angeles, Dallas, Houston, Washington DC and West Palm Beach, Florida. The firm acquired those properties between 2008 and 2011 on behalf of its CBRE Strategic Partners US Value 5 fund.